1 Solazyme Confidential

Co-Presented with:

Explore New Ways to Achieve Health and Wellness with Microalgae Food Ingredients

Presented by: Beata Klamczynska, Manager Food Applications and Technical Service Solazyme, Inc.

AGENDA

• INTRODUCTION AND OVERVIEW • Earth’s original whole food • Microalgae – new to the world lipid powder and protein • Solving some of Mexico’s biggest problems with microalgae

•HEALTH AND WELLNESS FORMULATIONS WITH MICROALGAE • Microalgae Lipid Powder

• Unique product functionality and benefits • Case study example

• Microalgae Protein • Differentiated benefits for using microalgae as a vegan protein source • Case study example

• Recap

Solazyme Confidential 3

MICROALGAE: EARTH’S ORIGINAL WHOLE FOOD SOURCE

Solazyme Confidential 4

Rich in oil, macronutrients and micronutrients, algae has the untapped potential to deliver innovations dramatically better for our health and our planet.

Our microalgae is a never before seen plant-based whole natural source of protein, fiber, healthy lipids, and micronutrients.

Algae is the basis for all plant life and an oil source for the food chain.

DIFFERENCES BETWEEN MICRO VS. MACRO ALGAE

MICROALGAE

Typically found in freshwater and marine systems

Small unicellular organisms that grow individually or in groups

Naturally available and can be cultivated

MACROALGAE

Large algae seen without a microscope

Found in seawater beds, commonly known as seaweed

Physical form comes in many shapes, sizes, colors

VS.

Algal Oils

Lipid Powders

Proteins

Other Algal Ingredients

WE BELIEVE IN KEEPING IT SIMPLE

Plant biomass (plant cellulosics)

Sugarcane

Sugar Beets

Corn

3-5 day process: offering control, purity and consistency

Simple Sugar Inputs Standard Fermentation Familiar Ingredients BETTER PRODUCTS

NEW PURE INGREDIENT SOURCE

Microalgae cell filled with oil

MICROALGAE WHOLE FOOD INGREDIENTS

MICROALGAE DELIVERS UNIQUE BENEFITS

MICROALGAE LIPID POWDER & PROTEIN

• Formulate lower fat and lower calories products

• Add indulgence to existing low fat products

• Improve the balance of unsaturated to saturated fatty acids

• Increase protein and fiber content • Improve product stability

MICROALGAE CAN SUPPORT THE DEVELOPMENT OF HEALTHIER PRODUCTS IN MEXICO

Solazyme Confidential 9

ISSUES FACING SOCIETY TODAY

JUNK FOOD TAX: TAKING ACTION TO COMBAT OBESITY

Solazyme Confidential 10 Source: OECD Obesity Update 2014

Global Obesity Rates Source: OECD

RESPONDING TO CONSUMERS AND MARKETS

Solazyme Confidential 11

Top 10 Health Positionings for New Product Launches Mexico, 12 months (August 2013 – July 2014)

Clean Label

Natural 19%

No Additives/Preser

vatives 17%

Organic 10% Low Fat

9% Low Cholesterol 8%

No Trans Fats 8%

Vitamin/Mineral Fortified

8%

Allergy 8%

High/Source Of Fibre 7%

Low Calorie 6%

Source: Innova Database, 09/11/14, Search: Mexico, All Food and Beverage, excl supplements, alcohol, baby food, pet food, clinical nutrition; Active and Passive Health Positioning

Natural 19%

No Additives/Preser

vatives 17%

Organic 10% Low Fat

9% Low Cholesterol 8%

No Trans Fats 8%

Vitamin/Mineral Fortified

8%

Allergy 8%

High/Source Of Fibre 7%

Low Calorie 6%

RESPONDING TO CONSUMERS AND MARKETS

Solazyme Confidential 12 Source: Innova Database, 09/11/14, Search: Mexico, All Food and Beverage, excl supplements, alcohol, baby food, pet food, clinical nutrition; Active and Passive Health Positioning

Top 10 Health Positionings for New Product Launches Mexico, 12 months (August 2013 – July 2014)

Take out the bad

Take out the bad

Natural 19%

No Additives/Preser

vatives 17%

Organic 10% Low Fat

9% Low Cholesterol 8%

No Trans Fats 8%

Vitamin/Mineral Fortified

8%

Allergy 8%

High/Source Of Fibre 7%

Low Calorie 6%

RESPONDING TO CONSUMERS AND MARKETS

Solazyme Confidential 13

Top 10 Health Positionings for New Product Launches Mexico, 12 months (August 2013 – July 2014)

Add the good

Source: Innova Database, 09/11/14, Search: Mexico, All Food and Beverage, excl supplements, alcohol, baby food, pet food, clinical nutrition; Active and Passive Health Positioning

NEW PRODUCT LAUNCH EXAMPLES

Solazyme Confidential 14

Source: Innova Database, 09/11/14, Search: Mexico, All Food and Beverage, excl supplements, alcohol, baby food, pet food, clinical nutrition; Active and Passive Health Positioning

HEALTH AND WELLNESS WITH MICROALAGE

[ Microalgae Lipid Powder ]

MICROALGAE LIPID POWDER

Composition

LIPID COMPONENT

Fatty Acid Composition

MULTI-COMPONENT AND MULTI-FUNCTIONAL

[ lipid powder composition ]

MICROALGAE LIPID POWDER – UNIQUE BENEFITS

Solazyme Confidential 19

Multi-component whole food

Formulate lower fat and lower calorie products

Adds indulgence and mouthfeel

Efficiently replaces/reduces dairy fats, egg yolks, and oil

Helps to remove gums and stabilizers

MICROALGAE LIPID POWDER APPLICATIONS

Solazyme Confidential 20

Sweet Bakery

Beverages

Sauces

Dressings

Confectionery

MICROALGAE LIPID POWDER CASE STUDIES

[ product focus ]

YELLOW CAKE

KEY MARKET SEGMENT: BAKERY

YELLOW CAKE | BETTER NUTRITION PROFILE

Yellow Cake [ control ]

Yellow Cake [ with Microalgae Lipid ]

29% [ reduced total fat ]

51% [ reduced trans fat ]

1 gram [ increased fiber ]

5% [ reduced calories ]

YELLOW CAKE | BETTER NUTRITION PROFILE

Artificial Colors

removed

Yellow Cake [ control ]

Yellow Cake [ with Microalgae Lipid ]

YELLOW CAKE MIX | FORMULA

Ingredients Control (Bakers %)

Microalgae Lipid Powder (Bakers %)

Flour 100 100 Sugars (Sugar, Dextrose, Corn Syrup Solids) 98.77 98.77 Shortening 18.28 8.70 Microalgae Lipid Powder -- 6.21* Egg Whites 4.83 4.83 Emulsifier 3.30 3.30 Other (Nonfat Milk, Leavening, Salt, Starch, Gum) 13.06 13.06

Added/Increased Eliminated/Reduced

*2.6% Microalgae lipid flour on 100% formulation basis

YELLOW CAKE | CONSUMER ACCEPTABILITY

YELLOW CAKE

Control Microalgae Lipid Powder

Overall Liking 6.22a 6.24a

Flavor 6.11a 6.18a

Appearance 6.23a 6.74a

Texture 6.22a 6.27a

Overall Liking 6.04a 6.24ab

NOTE: Sensory study performed with 90 panelists (each sample presented independently) 9 point scale: 1-dislike extremely, 9-like extremely Statistical analysis performed on results to determine if differences (in avg. score) between samples are significant Results denoted with the same letter are not statistically different

YELLOW CAKE | TEXTURE

Similar Texture

Texture measurements performed using TA.TX.Plus

200

250

300

350

400

450

Firmness

Control

Whole Algalin Flour Microalgae Lipid Powder

SUMMARY KEY VALUE PROPOSITIONS CAKE MIX MARKET

NUTRITION PROFILE • Decreased total fat by 29% • Reduced trans fat by 51% • Decreased calories by 5% • Increased fiber 1 gram

TEXTURE

• Similar mouthfeel LABEL

• Removal of artificial colors • 0 trans fats on nutritional panel

[ product focus ]

CHALLAH BREAD

KEY MARKET SEGMENT: BAKERY

CHALLAH BREAD | BETTER NUTRITION PROFILE

Challah Bread [ control ]

Challah Bread [ with Microalgae Lipid ] 63%

[ reduced total fat ]

50% [ reduced saturated fat ]

0 g [ cholesterol ]

20% [ lower calories ]

CHALLAH BREAD | BETTER NUTRITION PROFILE

All eggs removed

4% Microalgae

Lipid Powder

Challah Bread [ control ]

Challah Bread [ with Microalgae Lipid ]

CHALLAH BREAD | FORMULA

Ingredients Control (%) Microalgae Lipid Powder (%)

Flour 52.60 54.65 Water 17.90 31.00 Eggs 10.55 -- Microalgae Lipid Powder -- 4.00 Sugar 5.50 5.50 Vegetable Oil 11.60 3.00 Yeast 1.10 1.10 Salt 0.75 0.75

Added/Increased Eliminated/Reduced

SUMMARY | BAKERY MARKET: SWEET BREAD

NUTRITION PROFILE • Decreased total fat by 63% • Reduced saturated fat by 50% • No cholesterol

INGREDIENTS LIST

• Addition of Microalgae Lipid Powder • Removal of all eggs

[ product focus ]

VANILLA FROZEN

DESSERT

KEY MARKET SEGMENT: FROZEN DESSERT

FROZEN DESSERT | BETTER NUTRITION PROFILE

50% [ reduced total fat ]

63% [ reduced saturated fat ]

60% [ reduced cholesterol ]

21% [ reduced calories ]

Frozen Dessert [ control ]

Frozen Dessert [ with Microalgae Lipid ]

FROZEN DESSERT | FORMULA

Ingredients Control (%) Microalgae Lipid Powder (%)

Skim Milk 47.80 63.30 Manufacturing Cream 27.50 9.00 Sugar 12.00 12.00 Corn Syrup 8.50 8.50 Whey Powder 3.30 3.30 Microalgae Lipid Powder -- 3.00 Stabilizers and Emulsifiers 0.60 0.60 Vanilla Flavor 0.25 0.25

Added/Increased Eliminated/Reduced

ICE CRYSTAL DISTRIBUTION IN FROZEN DESSERT

Study performed at University of Wisconsin, Madison. Stability study was performed for 4 weeks in a dipping cabinet set at -9oC (±3) with 30 minutes freezer cycle.

0 2 4 6 8

10 12 14 16 18

5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95

Percent Total

Size µm

Week 1 Full Fat Control

Algal

Low Fat Control

0 2 4 6 8

10 12 14 16

5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95

Percent Total

Size µm

Week 4 Full Fat Control

Algal

Low Fat Control

Frozen dessert made with Microalgae Lipid Powder showed significantly slower ice crystal growth during a 4 week stability testing.

SUMMARY FROZEN DESSERT APPLICATION

NUTRITION PROFILE • Decreased total fat by 50% • Reduced saturated fat by 63% • Fewer calories by 21% • Lowered cholesterol by 60%

IMPROVED STABILITY • Slower ice crystal growth

HEALTH AND WELLNESS WITH MICROALGAE

[ Microalgae Protein ]

MICROALGAE PROTEIN

Composition F i b e r • I n s o l u b l e • S o l u b l e

S i m p l e

S u g a r s

V i t a m i n s

M i n e r a l s

C a r o t e n o i d s

• Quality vegan protein • Essential amino acids • High digestibility

AMINO ACID COMPOSITION

MICROALGAE PROTEIN – UNIQUE BENEFITS

Solazyme Confidential 42

Fortification

Limited formulation interactions

Stable in highly acidic environments

Ease of blending

Umami enhancement

MICROALGAE PROTEIN APPLICATIONS

Solazyme Confidential 43

Beverages

Snacks (Crackers, Chips, Pretzels, Bars)

RTM/Powder Blends

Confection (Gummies)

Sauces & Salad Dressings

Breads & Cereals

Application Area

MICROALGAE PROTEIN CASE STUDIES

PROTEIN CRACKERS

[ product focus ]

KEY MARKET SEGMENT: SAVORY SNACKS

PROTEIN CRACKER | BETTER NUTRITION PROFILE

Protein Cracker [ control ]

Protein Cracker [ with Microalgae Protein

] x2 [ increased protein ]

35% [ reduced carbohydrates]

x2 [ increased fiber ]

PROTEIN CRACKER | FORMULA

Ingredients Control (%) Microalgae Protein (%)

Flour 52.95 37.53 Water 22.90 19.85 Microalgae Protein -- 21.60

Cheddar Cheese 13.00 13.00 Canola Oil 6.87 3.74 Leavening 0.80 0.80 Sugar 1.53 1.53 Salt 1.15 1.15 Onion Powder 0.40 0.40 Cheese Flavor 0.40 0.40

Added/Increased Eliminated/Reduced

[ product focus ]

Chocolate Beverage

KEY MARKET SEGMENT: BEVERAGES

CHOCOLATE BEVERAGE | BETTER NUTRITION PROFILE

12 g [ protein per serving ]

5 g [ added fiber per

serving ]

Chocolate Beverage [ with Microalgae Protein ]

CHOCOLATE BEVERAGE | FORMULA

Ingredients (%)

Water 85.87 Microalgae Protein 5.50 Fructose 3.20 Sucrose 3.00 Cocoa 2.00 Cellulose Gum 0.41 Chocolate Flavor 0.02

MICROALGAE LIPID POWDER AND PROTEIN RECAP

REGULATORY CLEARANCE IN KEY MARKETS, LABELING & STATUS

US Allowed for sale (GRAS) Whole Algal Flour - FDA No Questions letter received June 2013

EU Allowed for sale, Not Novel

Mexico Allowed for sale

Australia and New Zealand Allowed for sale

Labeling Whole Algal Flour, Whole Algal Protein

Organic Status Whole Algal Flour – submitted for National List of approved non-organic ingredients, pending review

Kosher Status Kosher Pareve OU

Regulatory Clearance

Labeling

Organic and Kosher Status

HEALTH AND WELLNESS FORMULATIONS WITH MICROALGAE

Microalgae – Nature’s original whole food ingredient Health Benefits: Significant reductions in fat, calories, saturated fat, cholesterol Increased levels of fiber and protein Functional Benefits: Mouthfeel enhancement and moisture retention Stable protein protected inside the microalgae cell Labeling Benefits: Vegan, non-GMO, free of known allergens, gluten free, kosher

Solazyme Confidential 53

THANK YOU For more information, contact Solazyme Food Ingredients at:

foodingredients@solazyme.com | 650.780.4777

Solazyme Confidential 54